Parliament - A total of R409.3 million has been allocated to achieve new municipal demarcations over the next two years.
The 2016 Budget Review, tabled by Finance Minister Pravin Gordhan on Wednesday, detailed how the millions would be allocated to the municipal demarcation transition grant to fund the costs of the changes to borders of several municipalities.
"The number of municipalities will be reduced from 278 to 257 with the objective of improving their viability and sustainability," said Gordhan.
The mergers are expected to reduce administration costs and free up resources for service delivery. Local government allocations would be revised accordingly.
New demarcated municipalities and mergers would occur in:
* Northern Cape (one case)
* Eastern Cape (four)
* One in the Free State
* Seven or eight in KwaZulu-Natal
* Mpumalanga (two)
* At least eight in Limpopo
* One in Gauteng
* One in the North West.
The new municipalities would have their boundaries redrawn in 2016, the most significant municipal boundary change since 2000.
Boundary changes will come into effect on the date of the 2016 local government elections.
African News Agency (ANA)